Darling International posts income decline in Q2 and H1

11/08/2006

Food processing by-products recycling company US-based Darling International Inc. has reported its financial results for the second quarter and six months ended July 1.

For the second quarter, net sales were $87.2 million compared with $81.3 million for the second quarter of 2005. Increases in sales from the company's acquisition of substantially all the assets of National By-Products, LLC on May 15, which were partially offset by lower prices for finished products, accounted for the majority of the $5.9 million increase.

Results of operations for the second quarter declined to a net loss of $3.1 million, compared with net income of $2.7 million for the comparable period in 2005.

For the six-month period, net sales were $163.6 million compared with $152.6 million in 2005. Increased sales generated from the acquisition of National By-Products primarily accounted for the net sales increase. The company reported a net loss of $2.8 million compared with a net profit of $3.7 million for the same period in 2005.

The company recycles used restaurant cooking oil and by-products from the beef, pork and poultry processing industries into useable products such as tallow, feed-grade fats and meat and bone meal. These products are primarily sold to agricultural, leather and oleo-chemical manufacturers.